Sunday, January 30, 2011

How About The Interest?

Source: The Weekly Chronicle (Elyria, Ohio), July 26, 1902, page 4.

How About The Interest?

Cashier LeMaster, of the Elyria Savings bank, told the council the reason the bank was willing to give a loan to the city for nothing was to even up for the use of the $150,000 now on deposit.  Yet THE CHRONICLE told its readers the bank did not use this money, that it would be guilty of embezzlement if it did.  We wish the bank could see its way clear to apply the same reasoning to the notes now held against the city and carry the loan without interest to 'even up' for the use of other city funds. - Elyria Democrat

THE CHRONICLE did not hear Mr. LeMaster's reasons for giving the city this loan without interest, but it does desire to state that whether he said it or not, it adheres to this position that if this money is used by the depository, that the bank using it is guilty of embezzlement; that it is deposited only subject to check, and is not subject to loan, and if Mr. LeMaster stated to the council, as the Democrat says he did, that this was given to 'even up,' the bank certainly has no defense.

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